Sales and Inventory Essay Example for Free

Sales and Inventory Essay Nowadays, technology is commonly used by people in different various fields. The breakthroughs of science and technology have been applied in many ways to commerce and industry. Some of the spin-offs of these breakthroughs eventually filter down to provide benefits for the average person. The best example of this is products that were invented during the space program, which have allowed engineers and other scientists to use these to new products and materials in manufacturing. In the field of communication, mobile phone is one of the innovations that are being used by millions of people around the world. Most operations like planning and scheduling depend on inventory. This study is about a system of a mobile phone company wherein a documentation of a sales inventory system is being proposed. Inventory control system is very important to understand system of inventory management. (Shore, 2002) A very old but very wise adage teaches that â€Å"a journey of a thousand miles begins with a single step†. For businessman Guan Kay Lo, this adage holds true. He took the first â€Å"single step† in 1945 and established a small business which underwent several changes and challenges, an amazing journey, and through commitment, dedication, hard work and the miracle of time, it is now known as the Guanzon Group of Companies. The Guanzon MobiTek located at Perez St. Dagupan City uses a logbook wherein they record the products arrived and to be delivered to their branches. It is also used to record customers’ name and the product he/she had purchased. The System shall be established at the Guanzon Mobitek located at the Perez St. Dagupan City. (Lo, 2009) Statement of the Objectives The main goal of the study is to evaluate the current sales inventory control system of Guanzon MobiTek and come up with an enhanced inventory control system for the mobile company for a better inventory management and reduce risks of errors and fraud. It will seek to give an enhancement and design the company could adopt for a more effective and efficient inventory system. Specifically, the study aimed to: * Develop a system to manage sales and inventory products including add,  update and delete record. * Develop a Password-secured program * Be able to impart our knowledge in Inventory System that would help the Guanzon MobiTek Significance of the Study Ensuring continuous growth of firm is the main proposal on this study. It explains that it is important for a company to monitor its products’ demand from consumers. When demand arises there must be a sufficient stock to meet it without delay. It should also provide that the production must always be available and in good. Guanzon MobiTek Company. Guanzon can adopt the recommendations to be done by the researchers to improve the efficiency and effectiveness of their sales inventory control system. Customers. The system records the items purchased by the customer easily. Personnel. It helps the personnel to lessen the time of works regarding in checking and recording the products sold, unsold, and to be sold. Researchers of this Study. The researchers, being the main participants, will gain knowledge and experience to improve their skills. Future researchers. This research can provide basis and references for future studies related to inventories. Scope and Limitations This inventory system is designed and implemented to Guanzon MobiTek wherewith it is limited to the monitoring of stocks for mobile phones and mobile devices. Alert signals were being given to the user when stock goes beyond the reordering system. This study consists of adding, updating, and deleting record of the stocks. If the suppliers had delivered the company’s orders, the allowed personnel will login in this system then add the product including its quantity, model and the date delivered. For those unsold products, the personnel updates the records then delete the product. The proponents focused in monitoring the sales and inventory of the Guanzon MobiTek which is located at Perez St. Dagupan City. The study is limited on the system on how to record the sold, unsold, and to be sold mobile phone products of the company. Definition of terms Inventory management. Important for the business that sells a physical product to make the company’s system quick and reliable. Mobile phone. Mobile electronic device sold by the company which is used to make mobile  telephone calls across a wide geographic area, served by many public cells. Sales management. Management of sales operation, it is an important business function as net cells through the sales of products and services. Computerization. To equip with computers. End user. The one who operates the computing system. Field. One piece of information, such as customer’s last name, or item’s code number. Chapter 2 REVIEW OF RELATED LITERATURE AND STUDIES This chapter deals with the different literature and studies base on different sources such as books, magazine and Internet. The related literature is written based on the needed information related to the system to provide the better understanding how Sales and Inventory System works and give a brief theoretical background. Data Processing or information, operation (e.g., handling, merging, sorting and computing) performed upon data in accordance with strictly defines procedures, such as recording and summarizing the financial transaction of a business. An automatic or electronic data processing the operations are performed by the computer. Computer Security techniques developed to safeguard information and information system stored on computers. Potential threats include the destruction of computer hardware and software and the loss, modification, theft, unauthorized use, or disclosure of computer data. Inventory serves a number of functions. Among the most important are the following: To meet anticipated customer demand. These inventories are referred to as anticipation stocks because they are held to satisfy planned or expected demand. Inventory management has two main concerns. One release to the level of customer service, that is, to have the right goods, in sufficient quantities, in the right place, and at the right time. The other relates to the cost of ordering and carrying inventories. The overall objective of inventory management is to achieve satisfactory levels of customer service while keeping inventory costs within reasonable bounds. The management has two basic functions concerning inventory. One is to establish a system of  keeping track of items in inventory, and the other is to make decisions about how much and when to order. A system to keep track of the inventory on hand and on order.A reliable forecast of demand that includes an indication of possible forecast error. Knowledge of lead times and lead-time variability. Reasonable estimates of inventory holding costs, ordering costs, and shortage costs. A classification system for inventory items. However, inventory-counting system can be periodic or perpetual. Under a periodic system, a physical count of items in inventory is made at periodic intervals (e.g., weekly, and monthly) in order to each item. An advantage of this type of system is that orders for many items occur at the same time, which can result in economies in processing and shipping orders. But it has also several disadvantages. These are lack of control between reviews, the needs against shortages between review periods by carrying stocks and the need to make a decision on order quantities at each review. A perpetual inventory system (also known as a continual system) keeps track of removal from inventory on a continuous basis so the system can provide information on the current level of inventory on each item. An obvious advantage of this system is the control provided by the continuous monitoring of inventory withdrawals. Another is the fixed level quantity. One disadvantage of this approach is the added cost of record keeping. According to Ariel Magat (2002), he stated that the Inventory System of the vital to any institution, agency, or department. The proper safekeeping, processing and disposal of records play important roles in the efficient, effective and smooth operation that eventually, he stated that the Inventory System of the vital to any institution, agency, or department. The proper safekeeping, processing and disposal of records play important roles in the efficient, effective and smooth operation that eventually would lead to the success attainment of the goal and objectives of institution, agency and department concerned. Based on her recommendation there should be a central record management office that will hold data of the agency to serve as locator of the record and to control the disposal of each record. This can be possible through the use of computerized system. Computer with the appropriate software package is capable if handling records efficiently and effectively. And locating records that are computerized is faster tha finding them in the filling cabinet (Magat, 2002).